Reso. No. ____
RESOLUTION NO. ____
A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE HOUSING
AUTHORITY OF THE CITY OF RICHMOND, CALIFORNIA, AUTHORIZING THE
EXECUTIVE DIRECTOR OF THE RICHMOND HOUSING AUTHORITY (RHA) TO
EXECUTE AN EXTENSION TO THE EXCLUSIVE RIGHT TO NEGOTIATE
AGREEMENT (ERNA) WITH MCCORMACK BARON SALAZAR AND RICHMOND
NEIGHBORHOOD HOUSING SERVICES, AND AUTHORIZING THE EXECUTIVE
DIRECTOR OF THE RHA TO NEGOTIATE A MASTER DEVELOPMENT
AGREEMENT, GROUND LEASES, DISPOSITION AND DEVELOPMENT
AGREEMENTS, AND ANY OTHER RELATED DOCUMENTS AND AGREEMENTS
NECESSARY FOR THE REDEVELOPMENT AND OPERATION OF NYSTROM
VILLAGE
WHEREAS, Richmond Housing Authority (RHA) owns and manages 244 units of rental housing; and
WHEREAS, in September 2019 RHA entered into the current Public Housing Authority Recovery and Sustainability (PHARS) agreement with the U.S. Department of Housing and Urban Development (HUD); and
WHEREAS, RHA remains obligated and committed to performing all HUD required functions, and providing quality service to local program participants; and
WHEREAS, Nystrom Village is a four-block area encompassing 9 acres, with 51 wood frame duplexes, with a mix of one hundred (100) 1-, 2- and 3-bedroom units built in 1941, owned and managed by RHA; and
WHEREAS, on December 4, 2018, the RHA Board of Commissioners directed staff to move forward with repositioning RHA’s public housing developments and other real estate holdings; and
WHEREAS, the 2019 PHARS Agreement and Action Plan with HUD (Tasks 4.1-4.4), requires the repositioning of Nystrom Village as an implementing action to reposition the RHA Public Housing portfolio; and
WHEREAS, on April 20, 2020, RHA issued a Request for Proposals (RFP) seeking a qualified housing development team for the redevelopment and operations of Nystrom Village; and
WHEREAS, on September 21, 2021, the RHA Board of Commissioners designated McCormack Baron Salazar and Richmond Neighborhood Housing Services as the preferred development team and authorized the RHA executive director to negotiate an Exclusive Right to Negotiate Agreement (ERNA) and negotiate a Master Development Agreement (MDA); and
WHEREAS, on September 13, 2022, the ERNA was executed; and
WHEREAS, on February 10, 2023, the ERNA period expired, without a mutually agreed upon MDA; and
WHEREAS, the development team has continued to express interest in the project, has paid their outstanding $100,000 non-refundable ERNA deposit, is developing an updated project proposal, and is seeking additional time to negotiate an MDA; and
WHEREAS, the development team has requested an ERNA time extension and modifications to the original terms related to resident relocation and the ability to request funding support from RHA and the City for predevelopment and demolition costs; and
Reso. No. ____
WHEREAS, extending the term of the ERNA until October 31, 2023, and modifying certain terms will facilitate the repositioning of Nystrom Village by making clear the terms that will be included in the agreements that will govern the disposition and development of the property.
NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSIONERS OF THE
HOUSING AUTHORITY OF THE CITY OF RICHMOND, COUNTY OF CONTRA COSTA, STATE OF CALIFORNIA, that the executive director of the RHA is hereby authorized to execute an amendment to the ERNA with McCormack Baron Salazar and Richmond Neighborhood Housing Services to extend the term until October 31, 2023 and modify the terms to permit the developer to apply for City and RHA funding , and the executive director of the RHA is hereby authorized to negotiate a Master Development Agreement, ground leases, disposition and development agreements, and any other related documents and agreements necessary for the redevelopment and operation of Nystrom Village .
BE IT FURTHER RESOLVED that the Executive Director is hereby authorized to take all actions necessary to implement this resolution.
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The foregoing resolution was passed and adopted by the Commissioners of the Housing Authority of the City of Richmond at a special meeting thereof held on June 20, 2023, by the following vote:
AYES:
NOES:
ABSTENTIONS:
ABSENT:
Chairperson
[SEAL]
Attest:
Secretary
Approved as to form:
City Attorney
State of California }
County of Contra Costa : ss.
City of Richmond }
I certify that the foregoing is a true copy of Resolution No. _____ finally passed and adopted at a Special Housing Authority Meeting held on June 20, 2023.
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Reso. No. ____
CLERK OF THE HOUSING AUTHORITY